Tag: Financial Education
By Noon on Monday. A guide to building a solid financial foundation after landing your first Job (EP. 20)

By Noon on Monday. A guide to building a solid financial foundation after landing your first Job (EP. 20)

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For young adults stepping into their first jobs, financial planning is the cornerstone of long-term success. But where should you start?

In this episode of Money Metaphors, host Jason Coddington unpacks the essentials of financial planning for young professionals, using relatable analogies and practical advice to make the journey less daunting. Jason dives into key strategies to help young adults build a solid financial foundation. From creating a robust cash reserve to maximizing employer retirement plans, this episode offers actionable insights that will set you up for smart financial decisions early on.

Jason explores: 

  • Build a Cash Reserve: Secure 2-3 months of living expenses to safeguard against emergencies, forming a financial “moat” around your future goals
  • Maximize Employer Retirement Plans: Take full advantage of employer matching in retirement plans—after ensuring your cash reserve is in place
  • Consider a Roth IRA: Unlock significant tax advantages with a Roth IRA, making it a key part of your long-term financial strategy
  • Manage Debt Wisely: Balance debt repayment with saving and investing for financial stability and growth
  • Establish Good Financial Habits: Consistent savings and smart financial decisions lay the foundation for long-term success
  • And much more!

Don’t miss this episode of Money Metaphors, where you’ll discover a clear path to your goals—from your first paycheck to a prosperous retirement. 

Resources:

Connect with Jason Coddington:

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Chips, Dips, and Retirement Tips: Savvy Financial Planning for a Stress-Free Future (EP 19)

Chips, Dips, and Retirement Tips: Savvy Financial Planning for a Stress-Free Future (EP 19)

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Retirement planning can be as enjoyable as your favorite snack, but it requires careful consideration and strategy.

How do you ensure your financial resources last throughout your retirement? What steps can you take to manage your savings and spending effectively?

This week on Money Metaphors, host Jason Coddington explores the essentials of retirement planning through the delightful analogy of chips, dips, and managing your retirement stash. Jason dissects how to ensure you never run out of “cheese” in your golden years. 

From understanding what aspects of retirement you can control to learning about effective asset allocation and the impact of life expectancy, this episode is packed with practical tips and insights that will help you manage your finances more confidently and leave a lasting legacy.

Jason discusses: 

  • How to differentiate between controllable and uncontrollable aspects of retirement planning
  • The significance of the 4% withdrawal rule and its implications for your financial longevity
  • Insights on how lifestyle changes affect your spending as you age
  • The vital role of planning for potential long-term illnesses to protect your financial future
  • And more!

Tune in to ‘Money Metaphors’ for a comprehensive guide on estate planning and learn how to efficiently protect and manage your financial legacy.

Connect with Jason Coddington:

Disclosure

**Asset allocation does not ensure a profit or protect against a loss

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How To Protect Your Assets and Loved Ones (EP 18)

How To Protect Your Assets and Loved Ones (EP 18)

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Did you know that without an estate plan, state laws will decide who inherits your assets? 

Discover how to take control.

In this informative episode of ‘Money Metaphors,’ host Jason Coddington discusses the critical importance of estate planning. As Jason unpacks the complexities, he offers practical advice and personal anecdotes to illustrate how a well-crafted estate plan could protect your assets and bring comfort to your loved ones.

Key Highlights:

  • Why Estate Planning Matters: Learn how an estate plan ensures your assets are distributed efficiently, avoiding the costly and inefficient state-controlled process
  • Essential Components: Discover the must-have elements of an estate plan, including wills, beneficiary designations, trusts, durable powers of attorney, and healthcare directives**
  • Personal Insights: Hear Jason’s personal story about his mother’s estate planning and how a trust avoided significant probate costs
  • Tools and Recommendations: Explore practical tools like Trust and Will that simplify creating and managing your estate plan
  • Avoiding Probate: Understand how joint accounts, updated beneficiary designations, and trusts prevent probate, ensuring a smooth transfer of assets
  • Durable Power of Attorney and Healthcare Directives: Learn why these documents are crucial for maintaining control over financial and medical decisions if you become incapacitated
  • Trusts vs. Wills: Get insights into the added protections and benefits of trusts, especially in states like California with high property values
  • Gifting and Tax Strategies: Gain knowledge on current gift tax exclusions and strategies for gifting assets during your lifetime
  • And much more!

Tune in to ‘Money Metaphors’ for a comprehensive guide on estate planning and learn how to efficiently protect and manage your financial legacy.

Resources:

Connect with Jason Coddington:

Disclosure-

**LPL Financial representatives offer access to Trust Services through The Private Trust Company N.A. an affiliate of LPL Financial.

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Brewed Success: Financial Insights Through Beer Analogies (EP 17)

Brewed Success: Financial Insights Through Beer Analogies (EP 17)

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Discover the parallels between brewing beer and smart investing in this unique episode!

Join host Jason Coddington on this episode of ‘Money Metaphors’ as he sits down with Josh Bakker, brewmaster at Magosh Brewing in Kingsburg, California. They explore the art of brewing beer and reveal how these same principles can be applied to financial planning. Discover how a methodical approach to brewing translates to crafting a successful financial strategy, ensuring a balanced and rewarding life.

Key Highlights:

  • Brewing and Investing: A Parallel Journey: Learn how gradual improvement in brewing (“bullets before cannonballs”) mirrors the prudent approach in financial investments. Both require patience, research, and incremental progress before committing significant resources
  • Ingredients and Diversification: Just as beer requires a precise mix of ingredients, a well-rounded investment portfolio demands a mix of asset types. Understand the importance of diversification through analogies with mutual funds and ETFs**
  • Time and Patience in Both Worlds: Both brewing beer and financial planning benefit from time. Explore how time plays an important role in fermentation for beers and in compounding for investments
  • Simplifying Complex Processes: Break down the brewing process into simple steps – from the hot side to the cold side – and relate these to creating a comprehensive financial plan
  • Real-Life Analogies: Jason and Josh use relatable analogies to explain complex financial concepts, making it easier for listeners to grasp ideas like diversification, risk management, and long-term planning
  • And much more!

Tune in to ‘Money Metaphors’ for this insightful episode that blends the art of brewing with smart financial strategies. Don’t miss out on these unique insights!

Resources:

Connect with Jason Coddington:

Connect with Josh Bakker:

About our Guest: 

Josh Bakker transitioned from a successful career in finance at Prudential and AIG to become a brewmaster. He began his journey into brewing as a hobby, which evolved into opening Magosh Brewing after over a decade of meticulous practice and learning. His unique blend of financial acumen and brewing knowledge offers valuable insights into both worlds, making complex financial strategies accessible and engaging.

 

**Disclosures

There is no guarantee that a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk.

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How Target Date and Strategy Funds Can Work for You (EP 15)

How Target Date and Strategy Funds Can Work for You (EP 15)

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Ever wish investing could be as easy as picking a meal from a menu? 

It can be—with Target Date and Strategy Funds!

Join host Jason Coddington on ‘Money Metaphors’ as he untangles the world of Target Date and Strategy Funds, presenting them as key tools for managing major life milestones like retirement and college education. Just like selecting a pre-made salad simplifies mealtime, these funds streamline your investment choices with automated asset allocation and rebalancing — simple yet robust tools for your financial wellness.*

Key Highlights:

  • Understanding Target Date Funds: Learn how these funds dynamically adjust from aggressive to conservative investments as your retirement nears, simplifying how you manage your savings over time**
  • Benefits of 529 College Savings Plans: See how similar strategies apply to educational savings, growing conservative as the need to use the funds approaches, to protect your investments
  • Exploring Strategy Funds: Discover funds designed for constant risk levels, perfect for those who prefer predictable investment strategies
  • Investment Simplicity and Accessibility: Ideal for both novice investors and those too busy to manage daily investments, these funds maintain your desired investment balance automatically
  • Role of Financial Advisors: Understand how expert advice can enhance your use of these funds, tailoring your strategy to fit personal financial needs and goals

Curious about how to make your investment process effortless while ensuring robust asset management? Tune into ‘Money Metaphors’ and see how Target Date and Strategy Funds can impact your financial planning.

Connect with Jason Coddington:

Disclosures 

*Rebalancing a portfolio may cause investors to incur tax liabilities and/or transaction costs

and does not assure a profit or protect against a loss. (28-LPL) Asset allocation does not ensure a profit or protect against a loss. (34-LPL)

**The principal value of a target fund is not guaranteed at any time, including at the target date. The target date is the approximate date when investors plan to start withdrawing their money. (127-LPL)

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Social Security: What You Need To Know (Ep. 12)

Social Security: What You Need To Know (Ep. 12)

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Are you missing out on crucial Social Security benefits without even knowing it?

Join Jason Coddington in this insightful episode of ‘Money Metaphors’ as he untangles Social Security’s complexities. Covering topics from sustainability challenges to the effects of early benefits for small business owners, this episode provides essential insights for savvy retirement planning.

Key Highlights:

  • Understanding Social Security’s Future: Uncover the funding model’s challenges and the critical need for policy shifts
  • Role in Retirement: See how Social Security should complement, not solely constitute, your retirement plan
  • Benefits Timing: Learn the impacts of taking benefits early at 62 versus waiting for full retirement age
  • Importance of Account Monitoring: Stay vigilant with regular checks on your Social Security account to prevent fraud

Special Focus for Small Business Owners:

  • Income Thresholds: Grasp how business income over $22,000 affects your early benefits
  • Navigating Benefit Taxation: Understand how your income influences the taxation of your benefits
  • Maximizing Spousal Benefits: Discover strategies to leverage spousal benefits for maximum retirement advantage

Engaging Case Studies:

  • Hank and Holly: Join them as they navigate the timing of Social Security benefits
  • John and Julie: Examine the repercussions of opting for early Social Security benefits

Curious about how Social Security will shape your retirement? Tune in to ‘Money Metaphors’ for these insights and more. Don’t forget to visit our resources for a deeper dive into smart retirement planning.

Connect with Jason Coddington:

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How To Do Life Insurance Your Way (Ep. 11)

How To Do Life Insurance Your Way (Ep. 11)

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What if there’s a better way to approach life insurance than what you’ve been told?

Dive head first into the world of life insurance with Jason Coddington in this compelling ‘Money Metaphors’ episode. Jason shares his personal journey with life insurance following his father’s passing, providing a unique and heartfelt insight into this crucial tool for family financial stability and peace of mind. 

Key Highlights:

  • Calculating Life Insurance Coverage: Learn how to tailor your life insurance coverage using needs-based and income-based calculations to meet your financial situation 
  • The Importance of Early Coverage: Discover the significant cost benefits of securing life insurance in your 30s and the concept of ‘insuring your insurability’ against unforeseen health issues
  • Term vs. Permanent Life Insurance: Dive into the differences and advantages of term and permanent life insurance, understanding which option best aligns with your life stage and financial goals
  • The Human Life Value Approach: Understand this unique method for calculating life insurance, focusing on the lifetime earnings potential and its practical implications
  • Combining Policies: Learn effective strategies for blending term and permanent life insurance to achieve both immediate coverage needs and long-term financial security
  • The Benefits of Term Life Conversion: Explore the invaluable option of converting term life into permanent insurance, especially beneficial if health concerns arise later in life
  • Customizing Life Insurance: Jason highlights the importance of customizing life insurance plans to fit individual financial circumstances, career trajectory, and family commitments

Join us in this episode to inspire your financial future with the right life insurance strategy. Act now to safeguard your family’s tomorrow.

Connect with Jason Coddington:

*Guarantees are based on the claims-paying ability of the issuing insurance company.

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The Unwritten Rules Of The Financial Road (Ep. 10)

The Unwritten Rules Of The Financial Road (Ep. 10)

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While many believe that financial success is solely determined by following conventional rules, Jason Coddington is here to challenge these beliefs.

Jason takes you on a journey through the unwritten rules of financial freedom. Using relatable metaphors and real-life examples, he effortlessly connects societal norms to essential financial principles, making complex concepts easy to understand and apply.

Key Highlights:

  • Rule of 72: Understand how to estimate investment doubling times with this simple, yet powerful, formula
  • Unwritten Financial Rules: Explore key rules such as spending less than you earn, paying yourself first, and managing spending with Parkinson’s Corollary
  • Saving Discipline: Learn the importance of saving 10% of your income and building an emergency fund
  • The “Piggy Bank Factor” and Withdrawal Strategies: Discover disciplined saving and retirement withdrawal strategies, including the ‘10% rule’ for savings and ‘4% rule’ for retirement withdrawals
  • Engaging Analogies: Absorb these financial strategies through relatable analogies
  • And much more!

Tune in to transform these insights into your personal finance strategy.

Connect with Jason Coddington:

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How To Provide Charitable Gifts Through QCDs (Ep. 9)

How To Provide Charitable Gifts Through QCDs (Ep. 9)

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Want to make a meaningful charitable impact in your retirement years?

Join Jason Coddington of Coddington Wealth Advisors in the latest Money Metaphors episode as he demystifies Qualified Charitable Distributions (QCDs). This tool is a big breakthrough for savvy families and business owners aiming to blend philanthropy with tax efficiency. Learn how QCDs can be seamlessly incorporated into your retirement and estate plans, maximizing your charitable impact.

Key Highlights:

  • QCD Fundamentals: Dive into what QCDs are and how they’re tied to the Required Minimum Distribution rules for those over 73
  • Tax Reduction Tactics: Discover how QCDs can significantly reduce your taxable income, particularly beneficial for the philanthropically minded
  • Direct Transfer Essentials: Learn the critical process of moving funds directly from your IRA to charities to capitalize on tax benefits
  • Generous Provisions: Uncover the ability to donate up to $100,000 in one-time charity distributions for substantial tax savings
  • Recent Tax Law Effects: Gain insight into how the Tax Cuts and Jobs Act of 2017 makes QCDs even more advantageous due to the rise in standard deduction
  • Eligibility & Steps: Understand who qualifies for QCDs and the simple steps involved in executing them with the help of a financial advisor.

Explore these topics and uncover more valuable financial insights in this compelling episode.

 

Connect with Jason Coddington:

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Navigating the Maze of Individual Retirement Accounts (Ep. 8)

Navigating the Maze of Individual Retirement Accounts (Ep. 8)

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Confused about choosing between Traditional and Roth IRAs? 

Dive into clarity with our latest Money Metaphors episode, where Jason Coddington of Coddington Wealth Advisors navigates the world of Individual Retirement Accounts (IRAs). This episode delivers targeted insights for families and small business owners, breaking down the complexities of Traditional and Roth IRAs. Discover essential strategies, tax benefits, and planning tips to make informed decisions about your retirement savings.

Key Highlights:

  • Introduction to IRAs: Journey through the history of IRAs, highlighting their pivotal role in retirement planning since the 1970s
  • Traditional IRA Insights: Diving into Traditional IRAs, tax savings, tax-deferred growth, and the implications of withdrawals, along with critical age-related rules
  • Roth IRA Explained: Transitioning to Roth IRAs, discover the benefits of post-tax contributions and tax-free withdrawals, as well as their role in younger investors’ portfolios and estate planning
  • Tax Minimization Strategies: Explore how to reduce taxes in retirement, focusing on those over 73, through methods like Qualified Charitable Distributions
  • Innovative Financial Moves: Uncover how converting funds from a 529 plan to a Roth IRA can revolutionize your financial planning
  • And much more!

 

Resources:

  • Downloadable Flow Charts: To assist with understanding IRAs and their implications.
  • IRS Publication 580: Detailed guidelines on IRA contributions and distributions.

Connect with Jason Coddington:

 

Ira and Roth disclosures:

Contributions to a traditional IRA may be tax deductible in the contribution year, with current income tax due at withdrawal. Withdrawals prior to age 59 ½ may result in a 10% IRS penalty tax in addition to current income tax.

The Roth IRA offers tax deferral on any earnings in the account. Withdrawals from the account may be tax free, as long as they are considered qualified. Limitations and restrictions may apply. Withdrawals prior to age 59 ½ or prior to the account being opened for 5 years, whichever is later, may result in a 10% IRS penalty tax. Future tax laws can change at any time and may impact the benefits of Roth IRAs. Their tax treatment may change.

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